SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of July, 2013
Brazilian Distribution Company
(Translation of Registrant’s Name Into English)
Av. Brigadeiro Luiz Antonio,
3142 São Paulo, SP 01402-901
Brazil
(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F)
Form 20-F X Form 40-F
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule
101 (b) (1)):
Yes ___ No X
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule
101 (b) (7)):
Yes ___ No X
(Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)
Yes ___ No X
(Convenience Translation into English from theOriginal Previously Issued in Portuguese) |
Companhia Brasileira de Distribuição |
Individual and Consolidated Interim Financial Information for the Quarter Ended June 30, 2013 and Report on Review of Interim Financial Information |
Deloitte Touche Tohmatsu Auditores Independentes |
Page 0 of 117
Deloitte Touche Tohmatsu
(Convenience Translation into English from the Original Previously Issued in Portuguese)
REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATION
To the Shareholders, Board of Directors and Management of
Companhia Brasileira de Distribuição
São Paulo - SP
Introduction
We have reviewed the accompanying individual and consolidated interim financial information of Companhia Brasileira de Distribuição (the “Company”), identified as Company and Consolidated, respectively, included in the Interim Financial Information Form (ITR), for the quarter ended June 30, 2013, which comprises the balance sheet as of June 30, 2013 and the related statements of income and comprehensive income for the three- and six-month periods then ended, and changes in equity and cash flows for the six-month period then ended, including the explanatory notes.
The Company’s Management is responsible for the preparation of the individual interim financial information in accordance with technical pronouncement CPC 21 (R1) - Interim Financial Information and the consolidated interim financial information in accordance with technical pronouncement CPC 21 (R1) and the international standard IAS 34 - Interim Financial Reporting, issued by the International Accounting Standards Board - IASB, as well as for the presentation of such information in accordance with the standards established by the Brazilian Securities and Exchange Commission (CVM), applicable to the preparation of the Interim Financial Information (ITR). Our responsibility is to express a conclusion on this interim financial information based on our review.
Scope of review
We conducted our review in accordance with Brazilian and international standards on review of interim financial information (NBC TR 2410 and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with standards on auditing and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion on individual interim financial information
Based on our review, nothing has come to our attention that causes us to believe that the accompanying individual interim financial information included in the Interim Financial Information (ITR) referred to above was not prepared, in all material respects, in accordance with technical pronouncement CPC 21 (R1), applicable to the preparation of the Interim Financial Information (ITR), and presented in accordance with the standards established by the CVM.
Conclusion on consolidated interim financial information
Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated interim financial information included in the Interim Financial Information (ITR) referred to above was not prepared, in all material respects, in accordance with technical pronouncement CPC 21 (R1) and IAS 34, applicable to the preparation of Interim Financial Information (ITR), and presented in accordance with the standards established by the CVM.
Other matters
Statements of value added
We have also reviewed the individual and consolidated statements of value added for the six-
-month period ended June 30, 2013, prepared under the responsibility of the Company’s Management, the presentation of which is required by the standards issued by the CVM applicable to the preparation of Interim Financial Information (ITR) and considered as supplemental information for International Financial Reporting Standards - IFRS, that do not require the presentation of these statements. These statements were subject to the same review procedures described above and, based on our review, nothing has come to our attention that causes us to believe that they were not prepared, in all material respects, in relation to the individual and consolidated interim financial information taken as a whole.
São Paulo, July 19, 2013
DELOITTE TOUCHE TOHMATSU |
Edimar Facco |
Auditores Independentes |
Engagement Partner |
Page 0 of 117
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Company Information |
|
Capital Breakdown |
1 |
Cash Dividends |
2 |
Individual Quarterly Financial Information |
|
Balance Sheet – Assets |
3 |
Balance Sheet – Liabilities |
4 |
Income Statement |
6 |
Comprehensive Income for the Period |
7 |
Statement of Cash Flows |
8 |
Statement of Changes in Shareholders’ Equity |
|
1/1/2013 to 6/31/2013 |
9 |
1/1/2012 to 6/31/2012 |
10 |
Statement of Value Added |
11 |
Consolidated Quarterly Financial Information |
|
Balance Sheet - Assets |
12 |
Balance Sheet - Liabilities |
13 |
Income Statement |
15 |
Comprehensive Income for the Period |
16 |
Statement of Cash Flows |
17 |
Statement of Changes in Shareholders’ Equity |
|
1/1/2013 to 6/31/2013 |
18 |
1/1/2012 to 6/31/2012 |
19 |
Statement of Value Added |
20 |
Comments on the Company`s Performance |
21 |
Notes to the Quarterly Financial Information |
39 |
Other Information Deemed as Relevant by the Company |
109 |
Report on Review of Interim Financial Information |
111 |
Page 0
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Company Information / Capital Breakdown
Number of Shares (thousand) |
Current Quarter 06/30/2013 |
|
Paid in Capital |
|
|
Common |
99,680 |
|
Preferred |
164,612 |
|
Total |
264,292 |
|
Treasury Shares |
|
|
Common |
0 |
|
Preferred |
233 |
|
Total |
233 |
|
Page 1
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Company Information / Cash Dividends
Event |
Approval |
Type |
Date of Payment |
Type of Share |
Class of Share |
Amount per share (Reais/ share) |
Board of Directors Meeting |
04/25/2013 |
Dividend |
05/16/2013 |
Common |
- |
0.11818 |
Board of Directors Meeting |
04/25/2013 |
Dividend |
05/16/2013 |
Preferred |
- |
0.13000 |
|
|
|
|
|
|
|
Page 2
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information/ Balance Sheet - Assets
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
1 |
Total Assets |
20,695,038 |
22,009,548 |
1.01 |
Current Assets |
4,029,928 |
5,783,263 |
1.01.01 |
Cash and Cash Equivalents |
1,293,087 |
2,890,331 |
1.01.03 |
Accounts Receivable |
322,430 |
513,783 |
1.01.03.01 |
Trade Accounts Receivable |
296,375 |
492,642 |
1.01.03.02 |
Other Accounts Receivable |
26,055 |
21,141 |
1.01.04 |
Inventories |
2,022,077 |
2,132,697 |
1.01.06 |
Recoverable Taxes |
257,319 |
193,714 |
1.01.06.01 |
Current Recoverable Taxes |
257,319 |
193,714 |
1.01.07 |
Prepaid Expenses |
71,294 |
30,096 |
1.01.08 |
Other Current Assets |
63,721 |
22,642 |
1.01.08.01 |
Noncurrent Assets Held for Sales |
8,853 |
- |
1.01.08.03 |
Other |
54,868 |
22,642 |
1.02 |
Noncurrent Assets |
16,665,110 |
16,226,285 |
1.02.01 |
Long-term Assets |
1,629,955 |
2,564,888 |
1.02.01.03 |
Accounts Receivable |
28,105 |
25,740 |
1.02.01.03.02 |
Other Accounts Receivable |
28,105 |
25,740 |
1.02.01.06 |
Deferred Taxes |
199,351 |
185,491 |
1.02.01.06.01 |
Deferred Income and Social Contribution Taxes |
199,351 |
185,491 |
1.02.01.07 |
Prepaid Expenses |
41,813 |
49,064 |
1.02.01.08 |
Receivables from Related Parties |
602,004 |
1,538,567 |
1.02.01.08.02 |
Receivables from Subsidiaries |
536,363 |
1,470,807 |
1.02.01.08.03 |
Receivables from Controlling Shareholders |
930 |
6,258 |
1.02.01.08.04 |
Receivables from Other Related Parties |
64,711 |
61,502 |
1.02.01.09 |
Other Noncurrent Assets |
758,682 |
766,026 |
1.02.01.09.04 |
Recoverable Taxes |
233,251 |
217,651 |
1.02.01.09.05 |
Restricted Deposits for Legal Proceeding |
525,431 |
548,375 |
1.02.02 |
Investments |
8,004,324 |
6,736,527 |
1.02.02.01 |
Investments in Associates |
8,004,324 |
6,736,527 |
1.02.02.01.02 |
Investments in Subsidiaries |
8,004,324 |
6,736,527 |
1.02.03 |
Property and Equipment, net |
5,939,262 |
5,816,754 |
1.02.03.01 |
In Use |
5,797,543 |
5,655,444 |
1.02.03.02 |
Leased properties |
44,445 |
50,993 |
1.02.03.03 |
In Progress |
97,274 |
110,317 |
1.02.04 |
Intangible Assets |
1,091,569 |
1,108,116 |
1.02.04.01 |
Intangible Assets |
1,091,569 |
1,108,116 |
1.02.04.01.02 |
Intangible Assets |
1,091,569 |
1,108,116 |
Page 3
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information /Balance Sheet – Liabilities
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
2 |
Total Liabilities |
20,695,038 |
22,009,548 |
2.01 |
Current Liabilities |
6,962,445 |
7,097,599 |
2.01.01 |
Payroll and Related Charges |
311,150 |
330,884 |
2.01.01.01 |
Payroll Liabilities |
46,110 |
45,802 |
2.01.01.02 |
Social Security Liabilities |
265,040 |
285,082 |
2.01.02 |
Trade Accounts Payable |
1,864,423 |
2,357,379 |
2.01.02.01 |
Local Trade Accounts Payable |
1,826,202 |
2,294,756 |
2.01.02.02 |
Foreign Trade Accounts Payable |
38,221 |
62,623 |
2.01.03 |
Taxes and Contributions Payable |
98,873 |
101,508 |
2.01.03.01 |
Federal Tax Liabilities |
78,840 |
76,601 |
2.01.03.01.01 |
Income and Social Contribution Tax Payable |
55,184 |
- |
2.01.03.01.02 |
Other (PIS, COFINS, IOF, INSS, Funrural) |
23,656 |
76,601 |
2.01.03.02 |
State Tax Liabilities |
20,033 |
24,907 |
2.01.04 |
Loans and Financing |
2,008,686 |
1,418,852 |
2.01.04.01 |
Loans and Financing |
948,584 |
802,033 |
2.01.04.01.01 |
In Local Currency |
786,332 |
228,566 |
2.01.04.01.02 |
In Foreign Currency |
162,252 |
573,467 |
2.01.04.02 |
Debentures |
1,016,277 |
549,956 |
2.01.04.03 |
Financing by Leasing |
43,825 |
66,863 |
2.01.05 |
Other Liabilities |
2,676,001 |
2,864,426 |
2.01.05.01 |
Related Parties |
2,238,440 |
2,246,087 |
2.01.05.01.01 |
Debts with Associated Companies |
13,592 |
4,033 |
2.01.05.01.02 |
Debts with Subsidiaries |
2,212,683 |
2,226,298 |
2.01.05.01.03 |
Debts with Controlling Shareholders |
12,165 |
15,756 |
2.01.05.02 |
Other |
437,561 |
618,339 |
2.01.05.02.01 |
Dividends and Interest on Equity Payable |
679 |
166,507 |
2.01.05.02.04 |
Utilities |
6,625 |
6,343 |
2.01.05.02.05 |
Rent Payable |
31,690 |
33,258 |
2.01.05.02.06 |
Advertisement Payable |
45,855 |
42,103 |
2.01.05.02.07 |
Pass-through to Third Parties |
9,714 |
10,974 |
2.01.05.02.08 |
Financing Related to Acquisition of Real Estate |
86,789 |
88,181 |
2.01.05.02.09 |
Taxes Payable in Installments |
134,231 |
147,172 |
2.01.05.02.11 |
Other Accounts Payable |
121,978 |
123,801 |
2.01.06 |
Provisions |
3,312 |
24,550 |
2.01.06.02 |
Other Provisions |
3,312 |
24,550 |
2.01.06.02.02 |
Provisions for Restructuring |
3,312 |
24,550 |
2.02 |
Noncurrent Liabilities |
4,958,663 |
6,417,224 |
2.02.01 |
Loans and Financing |
3,353,532 |
4,903,336 |
2.02.01.01 |
Loans and Financing |
1,117,424 |
1,823,159 |
2.02.01.01.01 |
In Local Currency |
1,117,424 |
1,662,523 |
2.02.01.01.02 |
In Foreign Currency |
- |
160,636 |
2.02.01.02 |
Debentures |
2,096,451 |
2,942,111 |
2.02.01.03 |
Financing by Leasing |
139,657 |
138,066 |
2.02.02 |
Other Liabilities |
1,070,602 |
1,168,205 |
2.02.02.02 |
Other |
1,070,602 |
1,168,205 |
2.02.02.02.03 |
Taxes Payable by Installments |
1,025,444 |
1,119,029 |
2.02.02.02.04 |
Other Accounts Payable |
45,158 |
49,176 |
Page 4
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information /Balance Sheet – Liabilities
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
2.02.04 |
Provision for Contingencies |
534,529 |
345,683 |
2.02.04.01 |
Tax, Social Security, Labor and Civil Provisions |
534,529 |
345,683 |
2.02.04.01.01 |
Tax Provisions |
295,697 |
169,056 |
2.02.04.01.02 |
Social Security and Labor Provisions |
184,762 |
112,417 |
2.02.04.01.04 |
Civil Provisions |
54,070 |
64,210 |
2.03 |
Shareholders’ Equity |
8,773,930 |
8,494,725 |
2.03.01 |
Paid-in Capital Stock |
6,758,931 |
6,710,035 |
2.03.02 |
Capital Reserves |
214,087 |
228,459 |
2.03.02.02 |
Special Goodwill Reserve |
- |
38,025 |
2.03.02.04 |
Granted Options |
206,689 |
183,036 |
2.03.02.07 |
Capital Reserve |
7,398 |
7,398 |
2.03.04 |
Profit Reserves |
1,555,358 |
1,556,231 |
2.03.04.01 |
Legal Reserve |
300,808 |
300,808 |
2.03.04.05 |
Retention of Profits Reserve |
793,993 |
794,865 |
2.03.04.10 |
Expansion Reserve |
460,557 |
460,558 |
2.03.05 |
Retained Earnings/ Accumulated Losses |
245,554 |
- |
Page 5
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information / Statement of Income
R$ (in thousands)
Code |
Description |
YTD Current Year 4/1/2013 to 6/30/2013 |
YTD Current Year 1/1/2013 to 6/30/2013 |
YTD Current Year 4/1/2012 to 6/30/2012 |
YTD Current Year 1/1/2012 to 6/30/2012 |
3.01 |
Net Sales from Goods and/or Services |
5,010,041 |
10,154,048 |
4,572,342 |
9,140,379 |
3.02 |
Cost of Goods Sold and/or Services Sold |
(3,658,138) |
(7,402,606) |
(3,402,860) |
(6,790,044) |
3.03 |
Gross Profit |
1,351,903 |
2,751,442 |
1,169,482 |
2,350,335 |
3.04 |
Operating Income/Expenses |
(1,198,701) |
(2,197,393) |
(753,098) |
(1,610,697) |
3.04.01 |
Selling Costs |
(770,301) |
(1,557,782) |
(687,995) |
(1,370,265) |
3.04.02 |
General and Administrative |
(163,904) |
(327,789) |
(138,228) |
(288,385) |
3.04.04 |
Other Operating Expense |
8,002 |
5,840 |
(12,601) |
(14,854) |
3.04.04.01 |
Income Related to Fixed Assets |
(2,064) |
(4,226) |
(12,603) |
(14,856) |
3.04.04.02 |
Other Operating Income |
10,066 |
10,066 |
2 |
2 |
3.04.05 |
Other Operating Expenses |
(330,035) |
(449,462) |
(85,084) |
(161,191) |
3.04.05.01 |
Depreciation/Amortization |
(100,116) |
(199,743) |
(83,571) |
(159,678) |
3.04.05.03 |
Other Operating Expenses |
(229,919) |
(249,719) |
(1,567) |
(1,567) |
3.04.06 |
Equity Pickup |
57,537 |
131,800 |
170,810 |
223,998 |
3.05 |
Profit before Net Financial Expenses and Social Contribution Taxes |
153,202 |
554,049 |
416,384 |
739,638 |
3.06 |
Net Financial Expenses |
(135,628) |
(242,540) |
(107,035) |
(223,529) |
3.06.01 |
Financial Revenue |
47,045 |
110,479 |
92,019 |
174,344 |
3.06.02 |
Financial Expenses |
(182,673) |
(353,019) |
(199,054) |
(397,873) |
3.07 |
Earnings Before Income and Social Contribution Taxes |
17,574 |
311,509 |
309,349 |
516,109 |
3.08 |
Income and Social Contribution Taxes |
24,516 |
(32,844) |
(54,700) |
(94,868) |
3.08.01 |
Current |
5,524 |
(46,704) |
(47,982) |
(81,548) |
3.08.02 |
Deferred |
18,992 |
13,860 |
(6,718) |
(13,320) |
3.09 |
Net Income from Continued Operations |
42,090 |
278,665 |
254,649 |
421,241 |
3.11 |
Net Income for the Period |
42,090 |
278,665 |
254,649 |
421,241 |
3.99 |
Earnings per Share - (Reais/Share) |
|
|
|
|
3.99.01 |
Earnings Basic per Share |
|
|
|
|
3.99.01.01 |
ON |
0.15000 |
1.00000 |
0.92000 |
1.52000 |
3.99.01.02 |
PN |
0.16000 |
1.09000 |
1.01000 |
1.67000 |
3.99.02 |
Earnings Diluted per Share |
|
|
|
|
3.99.02.01 |
ON |
0.15000 |
1.00000 |
0.92000 |
1.52000 |
3.99.02.02 |
PN |
0.16000 |
1.09000 |
1.00000 |
1.66000 |
Page 6
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ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information / Comprehensive Income for the Period
R$ (in thousands)
Code |
Description |
YTD Current Year 4/1/2013 to 6/30/2013 |
YTD Current Year 1/1/2013 to 6/30/2013 |
YTD Previous Year 4/1/2012 to 6/30/2012 |
YTD Previous Year 1/1/2012 to 6/30/2012 |
4.01 |
Net Income for the Period |
42,090 |
278,665 |
254,649 |
421,241 |
4.03 |
Comprehensive Income for the Period |
42,090 |
278,665 |
254,649 |
421,241 |
Page 7
(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information /Statement of Cash Flows – Indirect Method
R$ (in thousands)
Code |
Description |
YTD Current Period 1/1/2013 to 6/30/2013 |
YTD Previous Period 1/1/2012 to 6/30/2012 |
6.01 |
Net Cash Flow Operating Activities |
189,133 |
(257,576) |
6.01.01 |
Cash Provided by the Operations |
914,502 |
739,829 |
6.01.01.01 |
Net Income for the Period |
278,665 |
421,241 |
6.01.01.02 |
Deferred Income and Social Contribution Taxes |
(13,860) |
13,320 |
6.01.01.03 |
Results from Disposal of Fixed Assets |
4,226 |
14,856 |
6.01.01.04 |
Depreciation/Amortization |
217,837 |
176,006 |
6.01.01.05 |
Net Finance Results |
269,795 |
306,458 |
6.01.01.06 |
Adjustment to Present Value |
126 |
(3,162) |
6.01.01.07 |
Equity Pickup |
(131,800) |
(223,998) |
6.01.01.08 |
Provision for Contingencies |
185,060 |
25,050 |
6.01.01.09 |
Provision for Disposals and Impairment of Property and Equipment |
2,075 |
(3,304) |
6.01.01.10 |
Share-based Payment |
23,653 |
18,688 |
6.01.01.11 |
Allowance for Doubtful Accounts |
(81) |
(2,599) |
6.01.01.12 |
Gain (Loss) in Equity Interest Dilution |
- |
8 |
6.01.01.13 |
Provision for Obsolescence/Shrinkage |
(3,824) |
(2,735) |
6.01.01.14 |
Noncurrent expenses |
82,000 |
- |
6.01.02 |
Changes in Assets and Liabilities |
(725,369) |
(997,405) |
6.01.02.01 |
Accounts Receivable |
189,070 |
168,891 |
6.01.02.02 |
Inventories |
114,444 |
151,990 |
6.01.02.03 |
Recoverable Taxes |
(79,205) |
34,551 |
6.01.02.04 |
Other Assets |
(43,092) |
(38,528) |
6.01.02.05 |
Related Parties |
(179,412) |
(497,466) |
6.01.02.06 |
Restricted Deposits for Legal Proceeding |
(66,650) |
(58,661) |
6.01.02.07 |
Trade Accounts Payable |
(492,956) |
(671,000) |
6.01.02.08 |
Payroll Charges |
(19,734) |
(17,546) |
6.01.02.09 |
Taxes and Social Contributions Payable |
(122,599) |
(56,970) |
6.01.02.10 |
Other Accounts Payable |
(25,235) |
(12,666) |
6.02 |
Net Cash Flow Investment Activities |
(392,753) |
(376,202) |
6.02.01 |
Capital Increase in Subsidiaries |
(58,750) |
- |
6.02.02 |
Acquisition of Property and Equipment |
(319,686) |
(377,485) |
6.02.03 |
Increase Intangible Assets |
(29,232) |
(3,473) |
6.02.04 |
Sales of Property and Equipment |
14,915 |
4,756 |
6.03 |
Net Cash Flow Financing Activities |
(1,393,624) |
993,421 |
6.03.01 |
Capital Increase/Decrease |
10,871 |
12,847 |
6.03.02 |
Additions |
- |
1,522,006 |
6.03.03 |
Payments |
(1,048,119) |
(357,564) |
6.03.04 |
Interest Paid |
(157,438) |
(53,243) |
6.03.05 |
Payment of Dividends |
(198,938) |
(130,625) |
6.05 |
Net Increase (Decrease) in Cash and Cash Equivalents |
(1,597,244) |
359,643 |
6.05.01 |
Cash and Cash Equivalents at the Beginning of Period |
2,890,331 |
2,328,783 |
6.05.02 |
Cash and Cash Equivalents at the End of Period |
1,293,087 |
2,688,426 |
|
|
|
|
|
|
|
|
|
|
|
|
Page 8
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information / Statement of Changes in Shareholders’ Equity – 01/01/2013 to 06/30/2013
R$ (in thousands)
Code |
Description |
Paid-in Capital |
Capital Reserves, Options Granted and Treasury Shares |
Profit Reserves |
Accumulated Profit/Losses |
Shareholders’ Equity |
5.01 |
Opening Balance |
6,710,035 |
228,459 |
1,556,231 |
- |
8,494,725 |
5.03 |
Restated Opening Balance |
6,710,035 |
228,459 |
1,556,231 |
- |
8,494,725 |
5.04 |
Capital Transactions with Shareholders |
48,896 |
(14,372) |
- |
(33,111) |
1,413 |
5.04.01 |
Capital Increases |
10,871 |
- |
- |
- |
10,871 |
5.04.03 |
Granted Options |
- |
23,653 |
- |
- |
23,653 |
5.04.06 |
Dividends |
- |
- |
- |
(33,111) |
(33,111) |
5.04.08 |
Reserves Capitalization |
38,025 |
(38,025) |
- |
- |
- |
5.05 |
Total Comprehensive Income |
- |
- |
- |
278,665 |
278,665 |
5.05.01 |
Net Income for the Period |
- |
- |
- |
278,665 |
278,665 |
5.06 |
Internal Changes of Shareholders’ Equity |
- |
- |
(873) |
- |
(873) |
5.06.04 |
Gain (Loss) in Equity Interest |
- |
- |
(873) |
- |
(873) |
5.07 |
Closing Balance |
6,758,931 |
214,087 |
1,555,358 |
245,554 |
8,773,930 |
Page 9
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information /Statement of Changes in Shareholders’ Equity – 01/01/2012 to 06/30/2012
R$ (in thousands)
Code |
Description |
Paid-in Capital |
Capital Reserves, Options Granted and Treasury Shares |
Profit Reserves |
Accumulated Profit/Losses |
Shareholders’ Equity |
5.01 |
Opening Balance |
6,129,405 |
384,342 |
1,111,526 |
- |
7,265,273 |
5.03 |
Restated Opening Balance |
6,129,405 |
384,342 |
1,111,526 |
- |
7,265,273 |
5.04 |
Capital Transactions with Shareholders |
572,166 |
(182,218) |
(358,413) |
(27,814) |
3,721 |
5.04.01 |
Capital Increases |
12,847 |
- |
- |
- |
12,847 |
5.04.03 |
Granted Options |
- |
18,688 |
- |
- |
18,688 |
5.04.06 |
Dividends |
- |
- |
- |
(27,814) |
(27,814) |
5.04.08 |
Capitalization of Reserve |
559,319 |
(200,906) |
(358,413) |
- |
- |
5.05 |
Total Comprehensive Income |
- |
- |
- |
421,241 |
421,241 |
5.05.01 |
Net Income for the Period |
- |
- |
- |
421,241 |
421,241 |
5.06 |
Internal Changes of Shareholders’ Equity |
- |
- |
806 |
- |
806 |
5.06.04 |
Gain (Loss) in Equity Interest |
- |
- |
806 |
- |
806 |
5.07 |
Closing Balance |
6,701,571 |
202,124 |
753,919 |
393,427 |
8,051,041 |
Page 10
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Individual Quarterly Financial Information /Statement of Value Added
R$ (in thousands)
Code |
Description |
YTD Current Period 1/1/2013 to 6/30/2013 |
YTD Previous Period 1/1/2012 to 6/30/2012 |
7.01 |
Revenues |
10,920,951 |
10,079,404 |
7.01.01 |
Sales of Goods, Products and Services |
11,093,125 |
10,038,602 |
7.01.02 |
Other Revenues |
(169,321) |
41,908 |
7.01.04 |
Allowance for/Reversal of Doubtful Accounts |
(2,853) |
(1,106) |
7.02 |
Raw Materials Acquired from Third Parties |
(8,606,776) |
(8,024,254) |
7.02.01 |
Costs of Products, Goods and Services Sold |
(7,804,514) |
(7,269,668) |
7.02.02 |
Materials, Energy, Outsourced Services and Other |
(802,262) |
(754,586) |
7.03 |
Gross Added Value |
2,314,175 |
2,055,150 |
7.04 |
Retention |
(217,837) |
(176,006) |
7.04.01 |
Depreciation and Amortization |
(217,837) |
(176,006) |
7.05 |
Net Added Value Produced |
2,096,338 |
1,879,144 |
7.06 |
Added Value Received in Transfer |
242,279 |
398,342 |
7.06.01 |
Equity Pickup |
131,800 |
223,998 |
7.06.02 |
Financial Revenue |
110,479 |
174,344 |
7.07 |
Total Added Value to Distribute |
2,338,617 |
2,277,486 |
7.08 |
Distribution of Added Value |
2,338,617 |
2,277,486 |
7.08.01 |
Personnel |
1,035,014 |
849,141 |
7.08.01.01 |
Direct Compensation |
715,626 |
588,850 |
7.08.01.02 |
Benefits |
245,793 |
193,268 |
7.08.01.03 |
Government Severance Indemnity Fund for Employees (FGTS) |
62,300 |
52,442 |
7.08.01.04 |
Other |
11,295 |
14,581 |
7.08.02 |
Taxes, Fees and Contributions |
452,969 |
425,441 |
7.08.02.01 |
Federal |
286,257 |
296,090 |
7.08.02.02 |
State |
116,329 |
81,235 |
7.08.02.03 |
Municipal |
50,383 |
48,116 |
7.08.03 |
Value Distributed to Providers of Capital |
571,969 |
581,663 |
7.08.03.01 |
Interest |
353,019 |
397,873 |
7.08.03.02 |
Rentals |
218,950 |
183,790 |
7.08.04 |
Value Distributed to Shareholders |
278,665 |
421,241 |
7.08.04.03 |
Retained Earnings for the Period |
278,665 |
421,241 |
Page 11
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Balance Sheet - Assets
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
1 |
Total Assets |
33,402,053 |
34,832,108 |
1.01 |
Current Assets |
14,909,748 |
16,680,302 |
1.01.01 |
Cash and Cash Equivalents |
5,037,251 |
7,086,251 |
1.01.02 |
Financial Investments |
23,111 |
- |
1.01.02.01 |
Financial Investments Measured Fair Value |
23,111 |
- |
1.01.02.01.03 |
Marketable Securities |
23,111 |
- |
1.01.03 |
Accounts Receivable |
2,728,465 |
2,867,556 |
1.01.03.01 |
Trade Accounts Receivable |
2,500,922 |
2,646,079 |
1.01.03.02 |
Other Accounts Receivable |
227,543 |
221,477 |
1.01.04 |
Inventories |
5,895,910 |
5,759,648 |
1.01.06 |
Recoverable Taxes |
957,734 |
871,021 |
1.01.06.01 |
Current Recoverable Taxes |
957,734 |
871,021 |
1.01.07 |
Prepaid Expenses |
178,515 |
66,792 |
1.01.08 |
Other Current Assets |
88,762 |
29,034 |
1.01.08.01 |
Noncurrent Assets for Sales |
51,334 |
- |
1.01.08.03 |
Other |
37,428 |
29,034 |
1.02 |
Noncurrent Assets |
18,492,305 |
18,151,806 |
1.02.01 |
Long-term Assets |
4,715,529 |
4,693,323 |
1.02.01.03 |
Accounts Receivable |
663,934 |
664,896 |
1.02.01.03.01 |
Trade Accounts Receivable |
98,991 |
108,499 |
1.02.01.03.02 |
Other Accounts Receivable |
564,943 |
556,397 |
1.02.01.04 |
Inventories |
172,280 |
172,280 |
1.02.01.06 |
Deferred Taxes |
1,057,286 |
1,078,842 |
1.02.01.06.01 |
Deferred Income and Social Contribution Taxes |
1,057,286 |
1,078,842 |
1.02.01.07 |
Prepaid Expenses |
53,631 |
61,892 |
1.02.01.08 |
Receivables from Related Parties |
199,471 |
178,420 |
1.02.01.08.03 |
Receivables from Controlling Shareholders |
- |
6,258 |
1.02.01.08.04 |
Receivables from Other Related Parties |
199,471 |
172,162 |
1.02.01.09 |
Other Noncurrent Assets |
2,568,927 |
2,542,993 |
1.02.01.09.04 |
Recoverable Taxes |
1,258,284 |
1,231,642 |
1.02.01.09.05 |
Restricted Deposits for Legal Proceeding |
949,628 |
952,294 |
1.02.01.09.07 |
Financial Instruments - Option to Put/Call |
361,015 |
359,057 |
1.02.02 |
Investments |
373,977 |
362,429 |
1.02.02.01 |
Investments in Associates |
373,977 |
362,429 |
1.02.02.01.01 |
Investments in Associates |
286,642 |
275,094 |
1.02.02.01.04 |
Other Equity Interest |
87,335 |
87,335 |
1.02.03 |
Property and Equipment, net |
8,506,243 |
8,114,498 |
1.02.03.01 |
In Use |
8,186,348 |
7,761,760 |
1.02.03.02 |
Leased Properties |
126,276 |
148,109 |
1.02.03.03 |
In Progress |
193,619 |
204,629 |
1.02.04 |
Intangible Assets |
4,896,556 |
4,975,556 |
1.02.04.01 |
Intangible Assets |
4,896,556 |
4,975,556 |
Page 12
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Balance Sheet – Liabilities
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
2 |
Total Liabilities |
33,402,053 |
34,832,108 |
2.01 |
Current Liabilities |
13,309,534 |
13,391,267 |
2.01.01 |
Payroll and Related Charges |
775,765 |
728,970 |
2.01.01.01 |
Payroll Liabilities |
138,846 |
190,127 |
2.01.01.02 |
Social Security Liabilities |
636,919 |
538,843 |
2.01.02 |
Trade Accounts Payable |
5,856,579 |
6,240,356 |
2.01.02.01 |
Local Trade Payable |
5,809,133 |
6,150,533 |
2.01.02.02 |
Foreign Trade Payable |
47,439 |
89,823 |
2.01.03 |
Taxes and Contribution Payable |
585,574 |
650,761 |
2.01.03.01 |
Federal Tax Liabilities |
358,005 |
410,893 |
2.01.03.01.01 |
Income and Social Contribution Taxes Payable |
96,451 |
93,759 |
2.01.03.01.02 |
Other (PIS, COFINS, IOF, INSS, Funrural) |
261,554 |
317,134 |
2.01.03.02 |
State Tax Liabilities |
222,816 |
233,154 |
2.01.03.03 |
Municipal Tax Liabilities |
4,753 |
6,714 |
2.01.04 |
Loans and Financing |
4,575,218 |
4,211,150 |
2.01.04.01 |
Loans and Financing |
3,487,712 |
3,459,652 |
2.01.04.01.01 |
In Local Currency |
3,284,433 |
2,754,029 |
2.01.04.01.02 |
In Foreign Currency |
203,279 |
705,623 |
2.01.04.02 |
Debentures |
1,028,751 |
668,444 |
2.01.04.03 |
Financing by Leasing |
58,755 |
83,054 |
2.01.05 |
Other Liabilities |
1,513,093 |
1,535,480 |
2.01.05.01 |
Related Parties |
48,942 |
80,399 |
2.01.05.01.01 |
Debts with Subsidiaries |
36,461 |
64,181 |
2.01.05.01.03 |
Debts with Controlling Shareholders |
- |
16,218 |
2.01.05.01.04 |
Debts with Other Related Parties |
12,481 |
- |
2.01.05.02 |
Other |
1,464,151 |
1,455,081 |
2.01.05.02.01 |
Dividends |
738 |
168,798 |
2.01.05.02.04 |
Utilities |
23,409 |
22,801 |
2.01.05.02.05 |
Rent Payable |
48,098 |
51,377 |
2.01.05.02.06 |
Advertisement Payable |
82,302 |
112,976 |
2.01.05.02.07 |
Pass-through to Third Parties |
216,809 |
224,099 |
2.01.05.02.08 |
Financing Related to Acquisition of Real Estate |
102,289 |
88,181 |
2.01.05.02.09 |
Deferred Revenues |
84,912 |
92,120 |
2.01.05.02.10 |
Taxes Payable in Installments |
142,667 |
155,368 |
2.01.05.02.11 |
Companies’ Acquisition |
68,250 |
63,021 |
2.01.05.02.12 |
Other Accounts Payable |
694,677 |
476,340 |
2.01.06 |
Provisions |
3,312 |
24,550 |
2.01.06.02 |
Other Provisions |
3,312 |
24,550 |
2.01.06.02.02 |
Provisions for Restructuring |
3,312 |
24,550 |
2.02 |
Noncurrent Liabilities |
8,671,560 |
10,372,890 |
2.02.01 |
Loans and Financing |
4,653,346 |
6,281,104 |
2.02.01.01 |
Loans and Financing |
1,601,952 |
2,377,214 |
2.02.01.01.01 |
In Local Currency |
1,601,952 |
2,176,652 |
2.02.01.01.02 |
In Foreign Currency |
- |
200,562 |
2.02.01.02 |
Debentures |
2,895,991 |
3,741,353 |
2.02.01.03 |
Financing by Leasing |
155,403 |
162,537 |
2.02.02 |
Other Liabilities |
1,388,189 |
1,708,384 |
2.02.02.02 |
Other |
1,388,189 |
1,708,384 |
2.02.02.02.03 |
Taxes Payable by Installments |
1,108,691 |
1,204,543 |
2.02.02.02.04 |
Other Accounts Payable |
116,236 |
345,640 |
2.02.02.02.05 |
Accounts Payable Related to Acquisition of Companies |
163,262 |
158,201 |
2.02.03 |
Deferred Taxes |
1,111,016 |
1,137,376 |
Page 13
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Balance Sheet – Liabilities
R$ (in thousands)
Code |
Description |
Current Quarter 06/30/2013 |
Previous Year 12/31/2012 |
2.02.03.01 |
Deferred Income and Social Contribution Taxes |
1,111,016 |
1,137,376 |
2.02.04 |
Provisions for Contingencies |
1,078,188 |
774,361 |
2.02.04.01 |
Tax, Social Security, Labor and Civil Provisions |
1,078,188 |
774,361 |
2.02.04.01.01 |
Tax Provisions |
611,965 |
450,639 |
2.02.04.01.02 |
Social Security and Labor Provisions |
314,458 |
190,836 |
2.02.04.01.04 |
Civil Provisions |
151,765 |
132,886 |
2.02.06 |
Deferred Revenues |
440,821 |
471,665 |
2.02.06.02 |
Deferred Revenues |
440,821 |
471,665 |
2.03 |
Consolidated Shareholders’ Equity |
11,420,959 |
11,067,951 |
2.03.01 |
Paid-in Capital Stock |
6,758,931 |
6,710,035 |
2.03.02 |
Capital Reserves |
214,087 |
228,459 |
2.03.02.02 |
Special Goodwill Reserve |
- |
38,025 |
2.03.02.04 |
Granted Options |
206,689 |
183,036 |
2.03.02.07 |
Capital Reserve |
7,398 |
7,398 |
2.03.04 |
Profit Reserves |
1,555,358 |
1,556,231 |
2.03.04.01 |
Legal Reserve |
300,808 |
300,808 |
2.03.04.05 |
Profit Retention Reserve |
793,993 |
795,865 |
2.03.04.10 |
Expansion Reserve |
460,557 |
460,558 |
2.03.05 |
Retained Earnings/ Accumulated Losses |
245,554 |
- |
2.03.09 |
Noncontrolling Interest |
2,647,029 |
2,573,226 |
Page 14
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information / Statement of Income
R$ (in thousands)
Code |
Description |
YTD Current Year 4/1/2013 to 6/30/2013 |
YTD Current Year 1/1/2013 to 6/30/2013 |
YTD Previous Year 4/1/2011 to 6/30/2011 |
YTD Previous Year 1/1/2012 to 6/30/2012 |
3.01 |
Net Sales from Goods and/or Services |
13,382,920 |
26,765,784 |
12,037,419 |
24,184,870 |
3.02 |
Cost of Goods Sold and/or Services Sold |
(9,832,445) |
(19,681,982) |
(8,808,171) |
(17,711,388) |
3.03 |
Gross Profit |
3,550,475 |
7,083,802 |
3,229,248 |
6,473,482 |
3.04 |
Operating Income/Expenses |
(3,155,099) |
(6,039,666) |
(2,626,522) |
(5,289,153) |
3.04.01 |
Selling Costs |
(2,249,187) |
(4,536,249) |
(2,037,003) |
(4,097,631) |
3.04.02 |
General and Administrative |
(365,039) |
(767,777) |
(416,296) |
(853,632) |
3.04.04 |
Other Operating Income |
(13,706) |
(3,026) |
22,238 |
32,994 |
3.04.04.01 |
Income Related to Fixed Assets |
(8,749) |
(13,813) |
(9,694) |
(2,967) |
3.04.04.02 |
Other Operating Income |
(4,957) |
10,787 |
31,932 |
35,961 |
3.04.05 |
Other Operating Expenses |
(531,089) |
(745,391) |
(192,794) |
(373,069) |
3.04.05.01 |
Depreciation/Amortization |
(195,124) |
(390,035) |
(177,320) |
(351,789) |
3.04.05.03 |
Other Operating Expenses |
(335,965) |
(355,356) |
(15,474) |
(21,280) |
3.04.06 |
Equity Pickup |
3,922 |
12,777 |
(2,667) |
2,185 |
3.05 |
Profit before Net Financial Expenses and Social Contribution Taxes |
395,376 |
1,044,136 |
602,726 |
1,184,329 |
3.06 |
Net finance expenses |
(299,658) |
(554,013) |
(284,728) |
(620,478) |
3.06.01 |
Financial Revenue |
128,048 |
270,674 |
151,013 |
296,637 |
3.06.02 |
Financial Expenses |
(427,706) |
(824,687) |
(435,741) |
(917,115) |
3.07 |
Earnings Before Income and Social Contribution Taxes |
95,718 |
490,123 |
317,998 |
563,851 |
3.08 |
Income and Social Contribution Taxes |
(18,751) |
(137,888) |
(72,714) |
(156,396) |
3.08.01 |
Current |
(54,106) |
(142,692) |
(50,905) |
(102,986) |
3.08.02 |
Deferred |
35,355 |
4,804 |
(21,809) |
(53,410) |
3.09 |
Net Income from Continued Operations |
76,967 |
352,235 |
245,284 |
407,455 |
3.11 |
Consolidated Net Income/Loss for the Period |
76,967 |
352,235 |
245,284 |
407,455 |
3.11.01 |
Attributed to Partners of Parent Company |
42,090 |
278,665 |
254,649 |
421,241 |
3.11.02 |
Attributed to Noncontrolling Shareholders |
34,877 |
73,570 |
(9,365) |
(13,786) |
3.99 |
Earnings per Share - (Reais / Share) |
|
|
|
|
3.99.01 |
Earnings Basic per Share |
|
|
|
|
3.99.01.01 |
ON |
0.15000 |
1.00000 |
0.92000 |
1.52000 |
3.99.01.02 |
PN |
0.16000 |
1.09000 |
1.01000 |
1.67000 |
3.99.02 |
Earnings Diluted per Share |
|
|
|
|
3.99.02.01 |
ON |
0.15000 |
1.00000 |
0.92000 |
1.52000 |
3.99.02.02 |
PN |
0.16000 |
1.09000 |
1.00000 |
1.66000 |
Page 15
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information / Comprehensive Income for the Period
R$ (in thousands)
Code |
Description |
YTD Current Year 4/1/2013 to 6/30/2013 |
YTD Current Year 1/1/2013 to 6/30/2013 |
YTD Previous Year 4/1/2012 to 6/30/2012 |
YTD Previous Year 1/1/2012 to 6/30/2012 |
4.01 |
Net Income for the Period |
76,967 |
352,235 |
245,284 |
407,455 |
4.03 |
Comprehensive Income for the Period |
76,967 |
352,235 |
245,284 |
407,455 |
4.03.01 |
Attributed to Controlling Shareholders |
42,090 |
278,665 |
254,649 |
421,241 |
4.03.02 |
Attributed to Non-Controlling Shareholders |
34,877 |
73,570 |
(9,365) |
(13,786) |
Page 16
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Statement of Cash Flows – Indirect Method
R$ (in thousands)
Code |
Description |
YTD Current Period 1/1/2013 to 6/30/2013 |
YTD Previous Period 1/1/2012 to 6/30/2012 |
6.01 |
Net Cash Flow Operating Activities |
602,187 |
60,609 |
6.01.01 |
Cash Provided by the Operations |
1,719,795 |
1,548,106 |
6.01.01.01 |
Net Income for the Period |
352,235 |
407,455 |
6.01.01.02 |
Deferred Income and Social Contribution Taxes |
(4,804) |
53,410 |
6.01.01.03 |
Results from Disposal of Fixed Assets |
13,813 |
2,957 |
6.01.01.04 |
Depreciation/Amortization |
426,701 |
392,170 |
6.01.01.05 |
Net Finance Results |
464,450 |
562,522 |
6.01.01.06 |
Adjustment to Present Value |
1,724 |
(587) |
6.01.01.07 |
Equity Pickup |
(12,777) |
(2,185) |
6.01.01.08 |
Payment Provision for Contingencies |
287,614 |
66,745 |
6.01.01.09 |
Provision for Disposals and Impairment of Property and Equipment |
2,773 |
(308) |
6.01.01.10 |
Share-Based payment |
23,653 |
18,688 |
6.01.01.11 |
Allowance for Doubtful Accounts |
23,329 |
195,050 |
6.01.01.12 |
Gain (Loss) in Equity Interest Dilution |
- |
(26,863) |
6.01.01.13 |
Barter Revenue |
- |
(96,810) |
6.01.01.14 |
Provision for Obsolescence/Shrinkage |
(15,840) |
(26,863) |
6.01.01.15 |
Deferred Revenue |
(30,844) |
- |
6.01.01.16 |
Noncurrent expenses |
187,768 |
- |
6.01.02 |
Changes in Assets and Liabilities |
(1,117,608) |
(1,487,497) |
6.01.02.01 |
Accounts Receivable |
115,895 |
298,569 |
6.01.02.02 |
Inventories |
(136,172) |
571,952 |
6.01.02.03 |
Recoverable Taxes |
(146,375) |
(214,935) |
6.01.02.04 |
Financial instruments |
- |
(51,048) |
6.01.02.05 |
Other Assets |
(110,627) |
(82,327) |
6.01.02.06 |
Related Parties |
(82,938) |
(59,356) |
6.01.02.07 |
Restricted Deposits for Legal Proceeding |
(115,693) |
(96,203) |
6.01.02.08 |
Trade Accounts Payable |
(370,827) |
(1,652,536) |
6.01.02.09 |
Payroll Charges |
46,795 |
77,728 |
6.01.02.10 |
Taxes and Social Contributions Payable |
(155,452) |
(200,422) |
6.01.02.11 |
Other Accounts Payable |
(99,237) |
(78,919) |
6.01.02.12 |
Financial Investments |
(22,977) |
- |
6.02 |
Net Cash Flow Investing Activities |
(774,496) |
(544,125) |
6.02.01 |
Companies Acquisition |
8,192 |
3,149 |
6.02.02 |
Capital Increase in Subsidiaries |
- |
53 |
6.02.03 |
Acquisition of Property and Equipment |
(768,278) |
(554,674) |
6.02.04 |
Increase Intangible Assets |
(58,649) |
(30,301) |
6.02.05 |
Sales of Property and Equipment |
44,239 |
37,477 |
6.02.06 |
Net Cash Acquisition |
- |
171 |
6.03 |
Net Cash flow Financing Activities |
(1,876,691) |
986,944 |
6.03.01 |
Capital Increase/Decrease |
10,871 |
12,847 |
6.03.02 |
Additions |
2,408,397 |
4,566,907 |
6.03.03 |
Payments |
(3,782,204) |
(3,326,062) |
6.03.04 |
Interest Paid |
(312,584) |
(136,123) |
6.03.05 |
Payment of Dividends |
(201,171) |
(130,625) |
6.05 |
Net Increase (Decrease) in Cash and Cash Equivalents |
(2,049,000) |
503,428 |
6.05.01 |
Cash and Cash Equivalents at the Beginning of Period |
7,086,251 |
4,969,955 |
6.05.02 |
Cash and Cash Equivalents at the End of Period |
5,037,251 |
5,473,383 |
Page 17
(FREETRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Statement of Changes in Shareholders’ Equity –01/01/2013 to 06/30/2013
R$ (in thousands)
Code |
Description |
Paid-in Capital |
Capital Reserves, Options Granted and Treasury Shares |
Profit Reserves |
Accumulated Profit/Losses |
Other Comprehensive Income |
Shareholders’ Equity |
Noncontrolling Interest |
Consolidated Shareholders’ Equity |
5.01 |
Opening Balance |
6,710,035 |
228,459 |
1,556,231 |
- |
- |
8,494,725 |
2,573,226 |
11,067,951 |
5.03 |
Restated Opening Balance |
6,710,035 |
228,459 |
1,556,231 |
- |
- |
8,494,725 |
2,573,226 |
11,067,951 |
5.04 |
Capital Transactions with Shareholders |
48,896 |
(14,372) |
- |
(33,111) |
- |
1,413 |
- |
1,413 |
5.04.01 |
Capital Increases |
10,871 |
- |
- |
- |
- |
10,871 |
- |
10,871 |
5.04.03 |
Granted Options |
- |
23,653 |
- |
- |
- |
23,653 |
- |
23,653 |
5.04.06 |
Dividends |
- |
- |
- |
(33,111) |
- |
(33,311) |
- |
(33,311) |
5.04.08 |
Capitalization of Reserve |
38,025 |
(38,025) |
- |
- |
- |
- |
- |
- |
5.05 |
Total Comprehensive Income |
- |
- |
- |
(278,665) |
- |
278,665 |
73,570 |
352,235 |
5.05.01 |
Net Income for the Period |
- |
- |
- |
(278,665) |
- |
278,665 |
73,570 |
352,235 |
5.06 |
Internal Changes of Shareholders’ Equity |
- |
- |
(873) |
- |
- |
(873) |
233 |
(640) |
5.06.04 |
Gain (Loss) in Equity Interest |
- |
- |
(873) |
- |
- |
(873) |
233 |
(640) |
5.07 |
Closing Balance |
6,758,931 |
214,087 |
1,555,358 |
245,554 |
- |
8,773,930 |
2,647,029 |
11,420,959 |
Page 18
(FREETRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Statement of Changes in Shareholders’ Equity – 01/01/2012 to 06/30/2012
R$ (in thousands)
Code |
Description |
Paid-in Capital |
Capital Reserves, Options Granted and Treasury Shares |
Profit Reserves |
Accumulated Profit/Losses |
Other Comprehensive Income |
Shareholders’ Equity |
Noncontrolling Interest |
Consolidated Shareholders’ Equity |
5.01 |
Opening Balance |
6,129,405 |
384,342 |
1,111,526 |
- |
- |
7,625,273 |
2,469,152 |
10,094,425 |
5.03 |
Restated Opening Balance |
6,129,405 |
384,342 |
1,111,526 |
- |
- |
7,625,273 |
2,469,152 |
10,094,425 |
5.04 |
Capital Transactions with Shareholders |
572,166 |
(182,218) |
(358,413) |
(27,814) |
- |
3,721 |
- |
3,721 |
5.04.01 |
Capital Increase |
12,847 |
- |
- |
- |
- |
12,847 |
- |
12,847 |
5.04.03 |
Granted Options |
- |
18,688 |
- |
- |
- |
18,688 |
- |
18,688 |
5.04.06 |
Dividends |
- |
- |
- |
(27,814) |
- |
(27,814) |
- |
(27,814) |
5.04.08 |
Capitalization of Reserves |
559,319 |
(200,906) |
(358,413) |
- |
- |
- |
- |
- |
5.05 |
Total Comprehensive Income |
- |
- |
- |
421,241 |
- |
421,241 |
(13,786) |
407,455 |
5.05.01 |
Net Income for the Period |
- |
- |
- |
421,241 |
- |
421,241 |
(13,786) |
407,455 |
5.06 |
Internal Changes of Shareholders’ Equity |
- |
- |
806 |
- |
- |
806 |
371 |
1,177 |
5.06.04 |
Gain (Loss) in Equity Interest |
- |
- |
806 |
- |
- |
806 |
371 |
1,177 |
5.07 |
Closing Balance |
6,701,571 |
202,124 |
753,919 |
393,427 |
- |
8,051,041 |
2,455,737 |
10,506,778 |
Page 19
(FREE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)
ITR –– Quarterly Financial Information – June 30, 2013 – COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO |
Version: 1 |
Consolidated Quarterly Financial Information /Statement of Value Added
R$ (in thousands)
Code |
Description |
YTD Current Period 1/1/2013 to 6/30/2013 |
YTD Previous Period 1/1/2012 to 6/30/2012 |
7.01 |
Revenues |
29,498,553 |
27,145,572 |
7.01.01 |
Sales of Goods, Products and Services |
29,903,610 |
27,171,747 |
7.01.02 |
Other Revenues |
(188,639) |
105,082 |
7.01.04 |
Allowance for/Reversal of Doubtful Accounts |
(216,418) |
(131,257) |
7.02 |
Raw Materials Acquired from Third Parties |
(22,717,171) |
(20,563,143) |
7.02.01 |
Costs of Products, Goods and Services Sold |
(20,190,341) |
(18,142,776) |
7.02.02 |
Materials, Energy, Outsourced Services and Other |
(2,526,830) |
(2,420,367) |
7.03 |
Gross Added Value |
6,781,382 |
6,582,429 |
7.04 |
Retention |
(426,701) |
(392,170) |
7.04.01 |
Depreciation and Amortization |
(426,701) |
(392,170) |
7.05 |
Net Added Value Produced |
6,354,681 |
6,190,259 |
7.06 |
Added Value Received in Transfer |
283,451 |
298,822 |
7.06.01 |
Equity Pickup |
12,777 |
2,185 |
7.06.02 |
Financial Revenue |
270,674 |
296,637 |
7.07 |
Total Added Value to Distribute |
6,638,132 |
6,489,081 |
7.08 |
Distribution of Added Value |
6,638,132 |
6,489,081 |
7.08.01 |
Personnel |
2,772,991 |
2,754,785 |
7.08.01.01 |
Direct Compensation |
2,021,319 |
1,871,519 |
7.08.01.02 |
Benefits |
496,144 |
429,850 |
7.08.01.03 |
Government Severance Indemnity Fund for Employees (FGTS) |
179,529 |
180,470 |
7.08.01.04 |
Other |
75,999 |
272,946 |
7.08.01.04.01 |
Interest |
75,999 |
272,946 |
7.08.02 |
Taxes, Fees and Contributions |
2,027,820 |
1,862,421 |
7.08.02.01 |
Federal |
1,219,478 |
1,145,310 |
7.08.02.02 |
State |
698,832 |
603,830 |
7.08.02.03 |
Municipal |
109,510 |
113,281 |
7.08.03 |
Value Distributed to Providers of Capital |
1,485,086 |
1,464,420 |
7.08.03.01 |
Interest |
824,687 |
917,115 |
7.08.03.02 |
Rentals |
660,399 |
547,305 |
7.08.04 |
Value Distributed to Shareholders |
352,235 |
407,455 |
7.08.04.03 |
Retained Earnings/ Accumulated Losses for the Period |
278,665 |
421,241 |
7.08.04.04 |
Noncontrolling Interest in Retained Earnings |
73,570 |
(13,786) |
Page 20
2Q13 Earnings Release
Net income up 35.8% to R$ 327 million
São Paulo, Brazil, July 23, 2013 - Grupo Pão de Açúcar [BM&FBOVESPA: PCAR4 (PN); NYSE: CBD] and Via Varejo [BM&FBOVESPA: VVAR3] announce their results for the second quarter of 2013 (2Q13). The results are presented in the segments as follows: GPA Food, formed by supermarkets (Pão de Açúcar, Extra Supermercado and PA Delivery), hypermarkets (Extra Hiper), neighborhood stores (Minimercado Extra), cash-and-carry stores (Assaí), GPA Malls & Properties, gas stations and drugstores; and GPA Consolidated, formed by GPA Food and Viavarejo (Casas Bahia and Pontofrio brick-and-mortar stores) and Nova Pontocom's e-commerce operations: Extra.com.br, PontoFrio.com.br, Casasbahia.com.br, Barateiro.com.br, PartiuViagens.com.br, e-Plataforma and Atacado Pontofrio). More information on the results of the subsidiary Via Varejo S.A. can be found in its respective earnings release disclosed on this date.
GPA Consolidated
Gross sales revenue reached R$ 14.919 billion
§ Gross sales revenue totaled R$ 14.919 billion, up 10.4% over 2Q12. In 1H13, excluding the effect of early Easter, sales increased by 10.1%;
§ 33 new stores added 29,000 square meters to sales area in the period. Sales area increased 2.2% year-to-date;
§ Same-store growth reached 7.3%, benefited by Viavarejo’s same-store growth increase;
§ EBITDA at R$ 609 million, impacted by Other Operating Expenses and Revenues amounting to R$ 350 million in the period. The EBITDA adjusted by these effects increased 20.6%, with margin at 7.2%;
§ Sales, general and administrative expenses as percentage of net sales revenue decline in all operations. In GPA Consolidated, it declined from 20.5% to 19.5% in 2Q13.
GPA Food
Gross sales revenue up 8.8% in 2Q13, with adjusted EBITDA margin at 7.0%
§ Gross sales revenue, excluding real estate projects, totaled R$ 7.984 billion, up 8.8% over 2Q12;
§ Increase in expansion pace: 29 new stores in 2Q13. Sales area increased 2.9% year-to-date;
§ Same-store growth of 4.8% in food categories, due to the early Easter, which was in 1Q13;
§ EBITDA at R$ 253 million, impacted by Other Operating Expenses and Revenues of R$ 260 million in the period. EBITDA adjusted by these effects would be R$ 512 million, with EBITDA margin at 7.0%.
GPA Consolidated | GPA Food (ex. real estate projects) | Viavarejo | |||||||||||||
(R$ million)(1) | 2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | 2Q13 | 2Q12 | Δ | 2Q13 | 2Q12 | Δ | |||
Gross Sales Revenue | 14,919 | 13,512 | 10.4% | 29,904 | 27,172 | 10.1% | 7,984 | 7,339 | 8.8% | 6,936 | 6,075 | 14.2% | |||
Net Sales Revenue | 13,383 | 12,037 | 11.2% | 26,766 | 24,185 | 10.7% | 7,321 | 6,622 | 10.6% | 6,062 | 5,318 | 14.0% | |||
Gross Profit | 3,550 | 3,229 | 9.9% | 7,084 | 6,473 | 9.4% | 1,812 | 1,693 | 7.0% | 1,739 | 1,438 | 20.9% | |||
Gross Margin | 26.5% | 26.8% | -0.3 p.p. | 26.5% | 26.8% | -0.3 p.p. | 24.7% | 25.6% | -0.9 p.p. | 28.7% | 27.0% | 1.7 p.p. | |||
EBITDA | 609 | 801 | -24.0% | 1,471 | 1,577 | -6.7% | 253 | 483 | -47.7% | 356 | 220 | 61.5% | |||
EBITDA Margin(2) | 4.5% | 6.7% | -2.2 p.p. | 5.5% | 6.5% | -1.0 p.p. | 3.4% | 7.3% | -3.9 p.p. | 5.9% | 4.1% | 1.8 p.p. | |||
Adjusted EBITDA | 958 | 794 | 20.6% | 1,829 | 1,565 | 16.9% | 512 | 474 | 8.1% | 446 | 222 | 100.5% | |||
Adjusted EBITDA Margin | 7.2% | 6.6% | 0.6 p.p. | 6.8% | 6.5% | 0.3 p.p. | 7.0% | 7.2% | -0.2 p.p. | 7.4% | 4.2% | 3.2 p.p. | |||
Net Financial Revenue (Expenses) | (300) | (285) | 5.2% | (554) | (620) | -10.7% | (129) | (121) | 7.0% | (170) | (164) | 3.9% | |||
% of net sales revenue | 2.2% | 2.4% | -0.2 p.p. | 2.1% | 2.6% | -0.5 p.p. | 1.8% | 1.8% | 0.0 p.p. | 2.8% | 3.1% | -0.3 p.p. | |||
Company's net profit | 77 | 245 | -68.6% | 352 | 407 | -13.6% | (18) | 142 | -113.0% | 95 | 5 | 1667.4% | |||
Net Margin | 0.6% | 2.0% | -1.4 p.p. | 1.3% | 1.7% | -0.4 p.p. | -0.3% | 2.1% | -2.4 p.p. | 1.6% | 0.1% | 1.5 p.p. | |||
Adjusted Net Income | 327 | 241 | 35.8% | 610 | 400 | 52.6% | 172 | 136 | 26.6% | 155 | 7 | 2112.5% | |||
Adjusted Net Margin | 2.4% | 2.0% | 0.4 p.p. | 2.3% | 1.7% | 0.6 p.p. | 2.4% | 2.1% | 0.3 p.p. | 2.6% | 0.1% | 2.5 p.p. | |||
(1) Totals and percentage changes are rounded off and all margins were calculated as percentage of net sales revenue. | |||||||||||||||
(2) Earnings before Interest, Taxes, Depreciation, Amortization |
Page 21
For better comparability of results, the following comments do not include the results of the real estate projects implemented by the Company in 2Q12 in partnership with construction companies, which generated non-recurring revenue of R$ 98 million.
Sales Performance
Gross Sales Revenue | Net Sales Revenue | ||||||||||||||
(R$ million) | 2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | 2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | |||
GPA Consolidated (ex-real estate projects ) | 14,919 | 13,414 | 11.2% | 29,904 | 27,074 | 10.5% | 13,383 | 11,939 | 12.1% | 26,766 | 24,087 | 11.1% | |||
GPA Food (ex-real estate projects) | 7,984 | 7,339 | 8.8% | 16,132 | 14,710 | 9.7% | 7,321 | 6,622 | 10.6% | 14,703 | 13,278 | 10.7% | |||
Retail |
6,425 | 6,197 | 3.7% | 13,147 | 12,436 | 5.7% | 5,887 | 5,579 | 5.5% | 11,965 | 11,200 | 6.8% | |||
Cash and Carry |
1,558 | 1,142 | 36.4% | 2,985 | 2,273 | 31.3% | 1,434 | 1,043 | 37.5% | 2,738 | 2,078 | 31.8% | |||
GPA Non Food | 6,936 | 6,075 | 14.2% | 13,771 | 12,364 | 11.4% | 6,062 | 5,318 | 14.0% | 12,062 | 10,809 | 11.6% | |||
Viavarejo - bricks and mortar stores |
5,873 | 5,236 | 12.2% | 11,757 | 10,633 | 10.6% | 5,113 | 4,552 | 12.3% | 10,256 | 9,232 | 11.1% | |||
Nova Pontocom |
1,062 | 840 | 26.5% | 2,014 | 1,731 | 16.4% | 949 | 765 | 24.1% | 1,806 | 1,577 | 14.6% | |||
Real Estate Projects | - | 98 | - | - | 98 | - | - | 98 | - | - | 98 | - |
Gross 'Same-Store' Sales Revenue | ||
2Q13 | 1H13 | |
GPA Consolidated | 7.3% | 7.0% |
Food | 4.8% | 7.2% |
Non-food | 9.3% | 6.8% |
Consolidated gross sales revenue totaled R$14.919 billion, up 11.2% over 2Q12. GPA Food’s gross revenue increased 8.8% and Viavarejo’s increased 14.2%.
The Company’s focus on expansion enabled the inauguration of 33 new stores in the quarter, of which 23 Minimercado Extra, four Casas Bahia three Assaí, two Pão de Açúcar and one drugstore. During the quarter, over 29,000 square meters were added to the GPA Consolidated’s sales area, which represents an increase of 1.0% over the end of March. From January to June, the area growth was at 2.2%. The company reaffirms its commitment to the area expansion guidance of above 6% for GPA Food and between 2% and 3% for Viavarejo for 2013. Such guidance does not consider the settlement agreement (Termo de Compromisso de Desempenho ‐ TCD) with Brazil’s antitrust agency CADE (Conselho Administrativo de Defesa Econômica) – more information about TCD on page 7. Another highlight in the quarter was the performance of Nova Pontocom, which once again posted double-digit growth.
In 1H13, excluding the effect of early Easter, gross sales totaled R$ 29.904 billion, up 10.5% over 1H12.
Same-store sales increased 7.3% in 2Q13, driven by the accelerated same-store growth of Viavarejo in the past quarters.
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Sales of the Group’s food categories posted same-store growth of 4.8%, impacted by the early Easter in 2013, which was celebrated in the first quarter. The Company estimates that the impact of the early Easter in the sales growth, in 2Q13, was approximately 300 basis points. Considering the calendar effect, same-store sales would increase by 7.8%, above inflation. Considering the six-month period, in which the calendar effect is not valid, same-store growth was 7.2%, which represents a real growth of 0.5% i.e. deflated by the IPCA inflation index for the last 12 months.
Minimercado Extra and Assaí banners posted double-digit growth in same-store sales.
Sales of the Group’s non-food categories, which include Viavarejo and the non-food categories of Extra Hiper, posted same-store growth of 9.3%, spurred by Viavarejo’s performance. The bricks-and-mortar stores posted ‘same‐store’ sales growth of 9.5%, fueled by the effective marketing campaigns combined with the commercial strategy, in addition to sales related to Mother’s Day. Nova Pontocom posted growth of 26.5% in the quarter, thanks to a price repositioning strategy in its different banners. In real terms, considering the inflation in the electronics, furniture and mattress categories in the past 12 months, as released by the Brazilian Institute of Geography and Statistics (IBGE), weighted by the product mix of the bricks-and-mortar stores and Nova Pontocom, gross revenue sales grew 8.7%.
In the second half of June, popular uprisings in Brazil forced the Company to shut certain stores for some hours at specific periods. The Management believes that the impacts on sales and other expenses were minor and did not significantly affect the 2Q13 performance.
Grupo Pão de Açúcar, through its banners Casas Bahia, Pontofrio and Extra Hiper, participate in the federal government’s ”Minha Casa Melhor” program, launched in June, which offer the beneficiaries of the “Minha Casa, Minha Vida” program a special credit facility to acquire furniture and home appliances. All of the Company’s businesses that sell the items included in the product basket subsidized by the credit facility are committed to meeting the demand of these new consumers.
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Operating Performance
GPA Consolidated (ex. real estate projects) | |||||||
2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | ||
Gross Sales Revenue | 14,919 | 13,414 | 11.2% | 29,904 | 27,074 | 10.5% | |
Net Sales Revenue | 13,383 | 11,939 | 12.1% | 26,766 | 24,087 | 11.1% | |
Gross Profit | 3,550 | 3,131 | 13.4% | 7,084 | 6,375 | 11.1% | |
Gross Margin | 26.5% | 26.2% | 0.3 p.p. | 26.5% | 26.5% | 0.0 p.p. | |
Selling Expenses | (2,249) | (2,037) | 10.4% | (4,536) | (4,098) | 10.7% | |
General and Administrative Expenses | (365) | (416) | -12.3% | (768) | (854) | -10.1% | |
Equity Income | 4 | (3) | - | 13 | 2 | 484.7% | |
Other Operating Revenue (Expenses) | (350) | 7 | - | (358) | 12 | - | |
Total Operating Expenses | (2,960) | (2,449) | 20.9% | (5,650) | (4,937) | 14.4% | |
% of Net Sales Revenue | 22.1% | 20.5% | 1.6 p.p. | 21.1% | 20.5% | 0.6 p.p. | |
Depreciation (Logistic) | 18 | 21 | -14.1% | 37 | 40 | -9.2% | |
EBITDA (1) (2) | 609 | 703 | -13.4% | 1,471 | 1,478 | -0.5% | |
EBITDA Margin | 4.5% | 5.9% | -1.4 p.p. | 5.5% | 6.1% | -0.6 p.p. | |
Adjusted EBITDA (3) | 958 | 696 | 37.6% | 1,829 | 1,467 | 24.7% | |
Adjusted EBITDA Margin | 7.2% | 5.8% | 1.4 p.p. | 6.8% | 6.1% | 0.7 p.p. |
(1) As of 4Q12, the results of Equity Income and Other Operating Income (Expenses) were included along with Total Operating Expenses in the calculation of EBITDA. Thus, the calculation of EBITDA complies with Instruction 527 dated October 4, 2012, issued by the Securities and Exchange Commission of Brazil (CVM).
(2) As from 1Q13, the depreciation recognized in the cost of goods sold, essentially consisting of the depreciation of distribution centers, began to be specified in the calculation of EBITDA.
(3) The explanation is available on page 11.
The Company’s gross margin increased by 30 basis points, reflecting the price repositioning in food retail, which was supported by a reduction in expenses. As in 1Q13, Assaí banner adopted more competitive prices in the new stores, in line with the banner’s strategy to generate traffic.
In terms of operational efficiency gains, the highlight was the reduction in the ratio between Viavarejo’s selling, general and administrative expenses and net revenue, from 23.1% in 2Q12 to 21.5% in 2Q13, due to the gains of synergy from the Productivity Plan and the higher rationalization of staff, marketing and IT expenses.
In 2Q13, the Company incurred in Other Operating Expenses and Revenues of R$ 350 million. It is worth mentioning the provisions for tax risks (R$ 163 million), effects related to the association between Pontofrio and Casas Bahia (*) (R$ 67 million), restructuring expenses and results from fixed assets (R$ 51 milion) and provisions related to labor claims and others (R$ 69 million).
EBITDA totaled R$ 609 million, due to the recognition of Other Operating Expenses and Revenues, as mentioned above. Adjusted EBITDA, which excludes such Other Operating Expenses and Revenues, would be R$ 958 million, up 37.6%, with ajusted EBITDA margin 7.2%.
In Viavarejo, the further gains of synergies and the implementation of new processes and elimination of operating expenses resulted in an EBITDA growth of 61.5%.
The six-month analysis, which excludes the calendar effect of Easter and the expense mentioned above, EBITDA increased by 24.7%, to R$ 1.829 billion.
(*) Refers to the effects related to the project by external consultants especially hired to analyze the accounting entries related to the association between Pontofrio and Casas Bahia.
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GPA Food (Retail and Cash-and-carry stores)
Food Retail (Extra and Pão de Açúcar)
Food Retail (ex. real estate projects) | |||||||
2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | ||
Gross Sales Revenue | 6,425 | 6,197 | 3.7% | 13,147 | 12,436 | 5.7% | |
Net Sales Revenue | 5,887 | 5,579 | 5.5% | 11,965 | 11,200 | 6.8% | |
Gross Profit | 1,611 | 1,535 | 5.0% | 3,305 | 3,106 | 6.4% | |
Gross Margin | 27.4% | 27.5% | -0.1 p.p. | 27.6% | 27.7% | -0.1 p.p. | |
Selling Expenses | (974) | (945) | 3.1% | (1,987) | (1,883) | 5.6% | |
General and Administrative Expenses | (186) | (170) | 9.2% | (379) | (353) | 7.5% | |
Equity Income | 3 | (2) | - | 10 | 2 | 380.2% | |
Other Operating Revenue (Expenses) | (261) | 8 | - | (284) | (2) | - | |
Total Operating Expenses | (1,418) | (1,109) | 27.9% | (2,641) | (2,235) | 18.1% | |
% of Net Sales Revenue | 24.1% | 19.9% | 4.2 p.p. | 22.1% | 20.0% | 2.1 p.p. | |
Depreciation (Logistic) | 11 | 10 | 4.7% | 21 | 19 | 7.3% | |
EBITDA | 204 | 436 | -53.3% | 685 | 890 | -23.0% | |
EBITDA Margin | 3.5% | 7.8% | -4.3 p.p. | 5.7% | 7.9% | -2.2 p.p. | |
Adjusted EBITDA | 465 | 428 | 8.6% | 969 | 892 | 8.7% | |
Adjusted EBITDA Margin | 7.9% | 7.7% | 0.2 p.p. | 8.1% | 8.0% | 0.1 p.p. |
Gross margin decreased by 10 basis points, while selling, general and administrative expenses accounted for 19.7% of net sales revenue, down 30 basis points.
EBITDA was impacted by Other Operating Expenses and Revenues totaling R$ 261.0 million. EBITDA totaled R$ 204 million, down 53.3% over 2Q12. EBITDA adjusted by the above-mentioned effect was R$ 465 million, with margin at 7.9%. Compared to 2Q12, growth would be 8.6%, higher than revenue growth.
Management expects futher reductions on operating expenses over the year which may be converted into lower prices for consumers to increase store traffic. With such strategy, the Company’s market share is expected to increase over the next quarters.
GPA Malls & Properties launched a new brand in June, Conviva, which is based on the neighborhood malls concept and aims to fill the gap between street stores and large commercial centers. Its first project, Conviva Américas, is anchored by an innovative concept of a Pão de Açúcar store, in addition to major sports, baby and gym retail chains, and another 35 satellite stores, including a food court. Conviva attracts customer traffic for the Pão de Açúcar store while diversies the group’s revenue with rental revenue. The project has a gross leasable area of 12,500 square meters. The Company expects to deliver at least 35,000 square meters of new gross leasable area in commercial centers this year.
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Cash-and-carry stores (Assaí)
Cash and Carry | |||||||
2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | ||
Gross Sales Revenue | 1,558 | 1,142 | 36.4% | 2,985 | 2,273 | 31.3% | |
Net Sales Revenue | 1,434 | 1,043 | 37.5% | 2,738 | 2,078 | 31.8% | |
Gross Profit | 200 | 158 | 26.5% | 375 | 304 | 23.5% | |
Gross Margin | 14.0% | 15.2% | -1.2 p.p. | 13.7% | 14.6% | -0.9 p.p. | |
Selling Expenses | (136) | (102) | 32.6% | (259) | (204) | 27.1% | |
General and Administrative Expenses | (17) | (10) | 66.4% | (33) | (21) | 57.7% | |
Other Operating Revenue (Expenses) | 1.2 | 0.8 | 48.8% | 1.3 | 0.3 | 288.3% | |
Total Operating Expenses | (152) | (112) | 35.6% | (291) | (224) | 29.6% | |
% of Net Sales Revenue | 10.6% | 10.7% | -0.1 p.p. | 10.6% | 10.8% | -0.2 p.p. | |
Depreciation (Logistic) | 0.01 | 0.05 | -76.8% | 0.08 | 0.07 | 18.5% | |
EBITDA | 49 | 47 | 4.6% | 85 | 80 | 6.5% | |
EBITDA Margin | 3.4% | 4.5% | -1.1 p.p. | 3.1% | 3.8% | -0.7 p.p. | |
Adjusted EBITDA | 48 | 46 | 3.8% | 84 | 79 | 5.4% | |
Adjusted EBITDA Margin | 3.3% | 4.4% | -1.1 p.p. | 3.1% | 3.8% | -0.7 p.p. |
Gross sales revenue totaled R$ 1.558 billion, up 36.4% over 2Q12, while EBITDA increased 4.6%, with margin at 3.4%. The first stores launched in new states demand more investments in marketing and more competitive prices, which lead to a natural margin contraction in the first months of operation at the newly opened stores in these regions. The success of this strategy is reflected in the sales performance of the recently opened stores, which exceeded initial expectations.
Keeping the aggressive store-opening plan for 2013 and, as already mentioned in 1Q13, the Company in 2Q13 delivered three new Assaí stores - in Ceará, Mato Grosso do Sul and Paraná. In the first six months of 2013, six new stores were opened, of which five were the first stores in their respective states. These six new stores represent 33,160 square meters of sales area and 74,200 square meters of built-up area. In the last 10 months, Assaí doubled the number of states in which it operates, from six to 12.The inauguration of stores in new regions was concentrated in the first half and other eight stores will be delivered in the second half of the year.
The increase in operating expenses continues to lag behind revenue growth. The low-expense business model sustains the more competitive pricing strategy. Management believes that this model will bring operating expenses down to below 10% of net revenue in the medium term.
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Electronics and home appliances (Viavarejo bricks-and-mortar stores and Nova Pontocom)
Viavarejo | |||||||
2Q13 | 2Q12 | Δ | 1H13 | 1H12 | Δ | ||
Gross Sales Revenue | 6,936 | 6,075 | 14.2% | 13,771 | 12,364 | 11.4% | |
Net Sales Revenue | 6,062 | 5,318 | 14.0% | 12,062 | 10,809 | 11.6% | |
Gross Profit | 1,739 | 1,438 | 20.9% | 3,403 | 2,966 | 14.8% | |
Gross Margin | 28.7% | 27.0% | 1.7 p.p. | 28.2% | 27.4% | 0.8 p.p. | |
Selling Expenses | (1,139) | (990) | 15.1% | (2,290) | (2,011) | 13.9% | |
General and Administrative Expenses | (162) | (236) | -31.3% | (355) | (480) | -25.9% | |
Equity Income | 1 | (0) | - | 3 | 0 | 2156.5% | |
Other Operating Revenue (Expenses) | (90) | (2) | 4276.0% | (76) | 13 | - | |
Total Operating Expenses | (1,390) | (1,229) | 13.2% | (2,718) | (2,478) | 9.7% | |
% of Net Sales Revenue | 22.9% | 23.1% | -0.2 p.p. | 22.5% | 22.9% | -0.4 p.p. | |
Depreciation (Logistic) | 8 | 11 | -31.0% | 16 | 21 | -24.6% | |
EBITDA | 356 | 220 | 61.5% | 701 | 509 | 37.8% | |
EBITDA Margin | 5.9% | 4.1% | 1.8 p.p. | 5.8% | 4.7% | 1.1 p.p. | |
Adjusted EBITDA | 446 | 222 | 100.5% | 776 | 495 | 56.7% | |
Adjusted EBITDA Margin | 7.4% | 4.2% | 3.2 p.p. | 6.4% | 4.6% | 1.8 p.p. |
The operational improvement was coupled with the acceleration in sales. The business posted higher sales growth than in previous quarters. The 180-basis-point increase in EBITDA margin is due to the gain in gross margin, which increased due to a more efficient logistics and increased penetration of sale of services, as well as a reduction in selling, general and administrative expenses as percentage of net revenue.
Furthermore, EBITDA was negatively impacted by Other Operating Expenses and Revenues, which totaled R$ 90 million, mainly due to the adjustments recommended by external consultants especially hired to analyze the accounting entries related to the association between Pontofrio and Casas Bahia. Adjusted EBITDA margin, excluding the effects mentioned above, would be 7.4% in the 2Q13, up 320 basis point over 2Q12.
The 160-basis-point decrease in selling, general and administrative expenses as a percentage of net sales revenue was due to the synergies captured with the Productivity Plan, mainly due to the greater rationalization of personnel, marketing and IT expenses.
As a result of the settlement agreement (Termo de Compromisso de Desempenho ‐ TCD) with Brazil’s antitrust agency CADE (Conselho Administrativo de Defesa Econômica), 74 stores are in the process of being divested, which together represent approximately 3% of Viavarejo’s gross sales in 2012, as mentioned in a material fact released on 04/17/2013. The Company will keep its shareholders and the market informed about any developments related to the compliance with the TCD.
In 1H13, EBITDA totaled R$ 701 million, up 37.8% over 1H12. EBITDA margin increased 110 basis points to 5.8%. Adjusted by Other Operating Expenses and Revenues, EBITDA would be R$ 776 million, with margin at 6.4%. The Company reaffirms its EBITDA margin guidance above 6.6% in the year.
Page 27
Indebtedness
GPA Consolidated | GPA Food | ||||
(R$ million) | 06.30.2013 | 03.31.2013 | 06.30.2013 | 03.31.2013 | |
Short Term Debt | (2,112) | (2,577) | (2,022) | (2,239) | |
Loans and Financing | (1,083) | (1,445) | (1,005) | (1,226) | |
Debentures | (1,029) | (1,132) | (1,016) | (1,014) | |
Long Term Debt | (4,545) | (5,008) | (3,733) | (4,189) | |
Loans and Financing | (1,649) | (2,014) | (1,637) | (1,994) | |
Debentures | (2,896) | (2,995) | (2,096) | (2,195) | |
Total Gross Debt | (6,657) | (7,586) | (5,755) | (6,429) | |
Cash | 5,060 | 6,002 | 2,707 | 3,553 | |
Net Debt | (1,597) | (1,584) | (3,048) | (2,875) | |
Net Debt / EBITDA(1) | 0.44x | 0.42x | 1.53x | 1.24x | |
Payment book - short term | (2,463) | (2,470) | - | - | |
Payment book - long term | (108) | (115) | - | - | |
Net Debt with payment book | (4,168) | (4,168) | (3,048) | (2,875) | |
Net Debt / EBITDA(1) | 1.16x | 1.10x | 1.53x | 1.24x |
Net debt, including Viavarejo’s payment book operation, totaled R$ 4.168 billion at the end of June. Maturities of loans, financing and debentures are still concentrated in the long term, of which 70% mature in over 12 months.
In 2Q13, net reserves were down by R$ 900 million for the purpose of debt payment, which decreased by the same amount. The net debt/EBITDA ratio stood at 1.16x on 06/30/2013. At the end of June, the Company had cash reserves close to R$ 5 billion. For more information, see the Cash Flow section.
Financial Result
GPA Consolidated (ex. real estate projects) | GPA Food (ex. real estate projects) |
Viavarejo | |||||||||||||
(R$ million) | 2Q13 | 2Q13 | Δ | 1S13 | 1S12 | Δ | 2Q13 | 2Q13 | Δ | 2Q13 | 2Q13 | Δ | |||
Financial Revenue | 128 | 151 | -15.2% | 271 | 297 | -8.8% | 83 | 123 | -32.9% | 53 | 40 | 33.6% | |||
Financial Expenses | (428) | (436) | -1.8% | (825) | (917) | -10.1% | (212) | (244) | -13.1% |